NZX-50 weighed down by Telecom

Last updated 10:34 10/09/2010

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Kiwi down on Greek deal disappointment NZ stocks down, Goodman Fielder plummets Euro falls, shares retreat on Greek fears Stocks swing on euro zone headlines NZ dollar up on strong retail spending Stocks slip with profit taking Markets retreat as Greeks scramble for cash Stocks slip after Mainfreight result Kiwi falls on European downgrades Stocks gain on Greek vote; euro dips

Telecom shares continued to weigh on the market this morning, falling another 2.48 percent after the company did not make a prioritised list for a portion of the Government's ultra-fast broadband project.

The benchmark NZX-50 index opened down 4.538 points, or 0.144 percent, at 3147.223, on a day overseas markets performed slightly better as optimism returned because of relatively positive US data.

Telecom was down 5c to 197, after closing down 11c to 202 yesterday when the Government's Crown Fibre Holdings (CFH) released a list of three initial investment partners named for prioritised talks - Telecom wasn't one of them.

It is on a list of 14 companies which CFH said remained important contenders for future negotiations and would continue in a partner selection process.

The Warehouse shares were up 1c to 370 after it announced a $83.2 million net profit after tax for the year ended August 1, down 2.4 percent from last year. After reducing $22.8m relating to government tax charges, the net profit after tax was down 21.6 percent to $60.2m.

Nuplex rose 1c to 340 after it signalled yesterday it was considering moving its primary listing to Australia.

Tower was up 2c to 189 and Air New Zealand was up 1c to 127.

Contact Energy rose 1c to 572, New Zealand Oil & Gas rose 1c to 132, and New Zealand Refining rose 1c to 323.

Steel & Tube was up 2c to 248, while Fletcher Building and Cavalier Carpets were down 4c to 818 and 2c to 278 respectively. All are expected to provide services in the earthquake-hit Christchurch.

Fisher & Paykel Healthcare fell 1c to 299 and Sanford fell 2c to 400.

In US, stocks rose on Thursday as better-than-expected jobs and trade data helped lift optimism about the economic recovery, although sentiment was fragile as investors fretted over European banks.

The Dow Jones industrial average gained 28.23 points, or 0.27 percent to 10,415.24. The Standard & Poor's 500 Index rose 5.31 points, or 0.48 percent to 1104.18. The Nasdaq Composite Index added 7.33 points, or 0.33 percent, to 2236.20.

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- NZPA